Omaha daily bee., 1887-06-26
WEEKLY BUSINESS REVIEW.
The Collapse of Wheat in Chicago in No
Way Affects the Banks.
MONEY LOANS ON SAFE MARGINS
Ear rnings or Leading Railroads Show
Considerable Improvement
Over the Corresponding
Period Last Year.

oScT tuc corresponding
Period Last Year.
CHICAGO, June 25.-lSpecial Telegram to
the BEE. Local financial affairs attracted
considerable attention during the week Just
closed. Complications arising out of the re-
cent collapse of the wheat market have in
volved some OF the local banking institu-
tions, as they advanced quite literally on
that description OF property, but the losses
sustained will be meagre, as the bulk of the
loans were made on wide margins. All the
Chicago banks are undoubtedly solvent and
no fears need be entertained of any loss on
their account The property they hold will
be gradually disposed of, so as not to make
any impression on the market aud the
money returned to the banks. The demand
for money during the week was fair, though
not so urgent as during the previous three or
four weeks. The amounts called for. too,
were smaller than usual, indicating that par
ties wanted sufficient funds to tide over the
present emergency or until they get their
affairs settled up. Speculative paper was In
little favor and very little was accepted by
banks. Considerable money was forwarded
to the country TO pay for grain and
live stock received, but chiefly through
commission houses. Lumbermen and whole
sale merchants have asked for few favors and
have been accommodated. Some demand
has existed for money for the payment of
property to be delivered on July contracts
and some money has been loaned at very
wide and safe margins. Rates of interest are
well maintained at 6ll@7 per cent on call
and 64S per cent on time loans, depending
OH the standing of borrower and the amount
required. Some paper was offered on the
o,,I tad ~ ohn,,t han
Money at eastern financial centres is gradu-
ally working closer, owing TO the drain on the
banks from western depositors and Increased
amounts required to pay for liberal quantities
OF grain being forwarded to that quarter
Rates of interest have been advanced to 699
per cent. In foreign financial centers there
is no particular change to note. Money is
abundant at fair rates OF interest. New York
exchange was offered rather freely during
the past week, while the demand was only
fair. The market was weak and somewhat
unsettled and sales were made between
banks at 6O@s0 cents discount per $1,000 and
Foreign exchange was in good supply owing
| to the increased exports of cotton, petroleum
| and grain and the demand was somewhat
| limited. The market ruled weak and ship
changed hands at S4.sl14Q14.S2lI5 and closed
rather slow at S4.sl14@4.Slh.. The New
York stock market showed little more ac-
tivity during the past week wee and prices ruled
| Earnings of the leading railroads still show
considerable Improvement over the returns
of last year, but the unsettled feeling in
commercial and financial circles has caused
carrying round lots. Early in the week the
market was steadier and prices were slightly
higher, but within the past two or three days
| offerings the market was decidedly unsettled
and prices declined heavily. At one time
a panic was feared, but large
pe'"'os the decline. Wall Street anu operators
traded rather freely, but outside traders
were somewhat indifferent about making
transactions. London operators were mod,
was less favorable to American securities
than for some time past. Sales on the New
York stock Exchange during the week ag-
Chicago board Of trade stock exchange was
comparatively light during the early part of
the week, but a little more activity was mani
tested toward the close. Operators have not
fully recovered from the effects of the recent
panic in the grain markets. and were not
disposed to trade much in stocks at present.
Dealers in local bonds stocks and securities
extent. Asmight be expected, the past week
has been an unsettled one in produce circles,
due to the effects of the recent sharp decline
in prices of cereals, ,o.,inms rnmors 90, Of
ing therefrom and, the inability of solvent
houses to close up their trades satisfactorily
| Considerable nervousness was manifested
early in the week and distrust and lack of
| was evinced by free calling of margins, but
all demands were promptly met and no fail
ures of any significance were reported. The
assurance given by leading capitalists and
bankers that they would stand by each other
in any emergency, deeming the present
prices of property reasonable, also had a
to encourage legitimate business. While the
| losses sustained have been quite large in the
aggregate outside of three or four hou ses,
they were very widely scattered, Such a
been sustained without impairment OF
capital, and considering all the
fortunate surroundings OF the trade
be congratulated on supporting ,their. finan.
cial standing as we'll as they have in sus-
tanning the brunt of the, panic; Within the
past two or three days the outlook has been
more encouraging, and more confidence has
been expressed in all quarters. Trade Is i'm
proving gradually, and there is Little
doubt but business will be on more solid
been made. The firms who were unfortun-
ately carried down with the wreck have
made propositions to their creditors, and are
settling up as RAPIDLY as possible prepara-
trading has been comparatively light during
the week, as operators desired to close up
their affairs generally; INQUIRY on
in the aggregate showed marked improve
ment. Receipts of grain have been moderate
| at all western points, considerably less than
| during the previous two or three weeks. EX-
ports from the seabOard were quite liberal,
with prospects that they will be considerably
| enlarged during the next three or four weeks
Arrival of live stock have been large at all
| western points. Packing In the west is pro-
crossing fayorably, though not quite as large
| now as at this time last year. yet showing an
| increase since March as compared with re-
| turns of last season.
| Nine Million Dollars Turned Loose.
| WASHINGTON, June 2.-Secretary Fair
child this afternoon teiegraphed to all assis-
tant treasurers directing the payment July
interest checks and coupons upon presenta-
tion. Many of the interest checks for regis.
tered bonds were mailed In advance in an.
| ticipation of this action, so as to facilitate
their payment. The effect will be the re.
lease from the sub-treasury OF about
| S9,0O000O. The remainder of the interest
checks will be mailed to-day.